FAQs about sponsorship
Securing the right sponsorship for your Science & Technology project can be fundamental to its success. Some Frequently Asked Questions (FAQ) about sponsorship are:
How soon should I make a sponsorship approach once I have an idea?
Try to complete the initial stages of your project planning before making any approach. Otherwise you may not have enough information to create an attractive selling package, and sponsors may want to know key aspects of the project you have not yet considered. In general, you need to allow plenty of time for the sponsorship approaches. A year in advance of the delivery is not unusual.
What is the common time period it takes to get an answer from sponsors?
Commonly, it always takes longer than you expect! A minimum of a month to hear back about your initial approach is not unusual, unless you know the sponsor well. Once you get their initial response, even if favourable, it can take further time to negotiate and finalise a deal. Six months to get to the contract stage and 12 months to actually bank some money is realistic.
Why does it take so long?
Sponsors are very busy people and get lots of approaches. The company may not have a sponsorship manager, but a team of people who need to be consulted. People may be overseas or on leave, or they may have a big product launch happening right now. Often you may have to wait until the next financial year to receive any funds. Be patient!
Should I put a time limit on receiving a response to an approach?
Yes, you can certainly do this and it is business-like — but it does not mean sponsors will meet the deadline. Saying that after a certain date you will be approaching other companies means that if they miss the deadline they know you may be seeking sponsorship elsewhere. Your stipulated deadline will depend on how tight your project timeframe is.
How many sponsors should I approach?
New Zealand is a small country with a limited market, so it's advisable to approach one company at a time. A scatter-gun approach to lots of sponsors simultaneously is not good business practice. Your research may tell you that there are only one or two potential sponsors who are a good match anyway, and often the number of approaches is limited by your project timeframe.
Is it worth re-approaching sponsors if they say no?
In general, it is best not to revisit a declined approach unless you have something significant or new to offer. Returning with a new, different project is acceptable, provided it is not too soon after your original approach.
What if I can raise some of the funding, but not enough for the project to go ahead?
Be honest with any funders you have already secured. It is better to cancel the project than deliver it badly due to under-funding. Another option is to defer your project until the following financial year. Re-applying for funding can be acceptable if you have made changes or addressed issues that prevented the realisation of the project initially.
What are the main reasons relationships with sponsors go wrong?
Various factors can impact negatively on the relationship with your sponsor. Common uncontrollable reasons are: a change of personnel within the sponsoring company means you lose your key supporter; the company is taken over or has a major financial problem; offshore changes mean the New Zealand business focus has changed; a sponsorship review is taking place. Controllable reasons can include: inadequate reporting back to the sponsor; bad event management; poor or negative media coverage; over-promising and under-delivery; inflated audience targets; careless relationship management.